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Question 1
Jermaine gave property to himself "for his own use and benefit." His brother, Tito, challenged this contention because Jermaine had promised him in a conversation during Christmas that he was going to hold the property for Tito's benefit. The court would allow the introduction of Tito's testimony.
Correct
Incorrect!
Correct As applied to trusts, extrinsic evidence is not admissible to vary the plain language of the writing. Here, Jermaine did not indicate that the property was to be held in trust for Tito. As such, the court would not allow parol evidence to contradict the language of the writing.
Incorrect! As applied to trusts, extrinsic evidence is not admissible to vary the plain language of the writing. Here, Jermaine did not indicate that the property was to be held in trust for Tito. As such, the court would not allow parol evidence to contradict the language of the writing.
Question 2
Orville establishes an oral trust (his sister Viveca is the trustee) as follows: "1,000 shares of utilities stock to benefit Juliana"; "income for life to Sandra, upon her death, principal to Daphne" and he deeds his personal residence in North Dakota to benefit Zack. Which item is unenforceable?
Correct
Incorrect!
Correct A written document is not necessary to create a trust; however, when land is involved, there must be a writing to make the gift enforceable. Here, a written document would be necessary to give Zack an enforceable right to the personal residence.
Incorrect! A written document is not necessary to create a trust; however, when land is involved, there must be a writing to make the gift enforceable. Here, a written document would be necessary to give Zack an enforceable right to the personal residence.